Auction & sale quashed | india | Hindustan Times
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Auction & sale quashed

TAKING A serious note of non-compliance with statutory provisions under the UP Zamindari Abolition & Land Reform Act, the High Court here has quashed the auction and sale proceedings held on May 2, 2005 regarding properties of M/s Swadeshi Polytex Ltd. Ghaziabad.

india Updated: Jan 05, 2006 00:39 IST

TAKING A serious note of non-compliance with statutory provisions under the UP Zamindari Abolition & Land Reform Act, the High Court here has quashed the auction and sale proceedings held on May 2, 2005 regarding properties of M/s Swadeshi Polytex Ltd. Ghaziabad.

Justice DP Singh passed the above order while allowing a writ petition filed by M/s Swadeshi Polytex Ltd with costs amounting to Rs. 50,000 against the respondents.

The court found that under the Act, the petitioner ought to have been given an opportunity to pay the dues of the workmen before resorting to coercive action of auction and sale but the commissioner Ghaziabad as well as the Board of Revenue failed to consider the petitioner’s objection raised u/s 285 (1) of the Rules.

Both the impugned orders were accordingly quashed by the court.

“The district authorities seemed to have acted in a hasty and arbitrary manner ignoring the statutory provisions contained in the Act and the rules for extraneous reasons,” the court remarked.

Justice Singh accordingly directed the petitioner to deposit Rs. 10 crore with the Dy. Labour Commissioner, Ghaziabad within six weeks in lieu of the wages of its workmen. For the rest of the amount the authorities could serve fresh demand notice and proceed afresh in accordance with the law, the court added.

The UP chief secretary was directed to take appropriate action against the officers/ employees who had acted in an arbitrary manner while proceeding with the auction and sale of the property in question.

The court expressed concern that when rehabilitation process of the petitioner’s firm had been initiated by the Government of India at the behest of the National Textile Corporation (the biggest share holder of the petitioner’s company) then what prompted the district magistrate to proceed with the auction and sale of the properly in question in a hasty and arbitrary manner.

Rehabilitation of industry was in national interest as it would have not only provided wages to workmen but also given them source of livelihood with continuity of employment, the court remarked.

Panda case hearing deferred
THE HEARING on the matrimonial appeal filed by Veena Panda against her husband, former IG (Rules & Manuals) DK Panda was adjourned to January 23 next by the High Court here on Wednesday. It may be recalled that the High Court on November 10, 2005 had directed the respondent to pay interim maintenance @ Rs. 7000 per month to Veena Panda. However, the order was not complied.

It was urged on behalf of the respondent that he had preferred an appeal to the apex court against the impugned order. The court accordingly adjourned the hearing to January 23 next.